I'm disappointed in the responses about this deal not involving subsidized phones. We need all carriers to start offering plans that don't involve subsidized phones. The cost of the phone is built into the plan. Then when the phone is paid for, it's all profit for the carrier. T-Mobile's plans that include subsidized phones are $20/month more (in line with the rest of the carriers.) And because the carrier's are picking up (a large part of) the upfront cost most of the time, there's no downward price pressure on phone manufacturers. It also means that we don't have carrier agnostic phones. That reduces competition which keeps prices up. What would landline phones be like today if we still had to get our phones from the local telco?